The purpose of this chapter is to set forth regulations for the provision of video service by state franchise holders, in accordance with the Digital Infrastructure and Video Competition Act ("DIVCA"), California Public Utilities Code Sections 5800 to 5970, serving any locations within the city of Pleasanton.
(Ord. 2013 § 1, 2010)
For the purposes of this chapter, the following terms, phrases, words and their derivations shall have the meanings given herein:
"City"
means the city of Pleasanton.
"City manager"
means the city manager of the city, or designee.
"Franchise fee"
shall have the meaning given that term by subdivision (g) of Public Utilities Code Section 5830 or its successor.
"Gross revenues"
shall have the meaning given that term by subdivision (d) of Public Utilities Code Section 5860.
"Holder"
shall have the meaning given that term by subdivision (h) of Public Utilities Code Section 5830 or its successor.
"Material breach"
shall have the meaning given that term by subdivision (j) of Public Utilities Code Section 5900 or its successor.
"Network"
shall have the meaning given that term by subdivision (l) of Public Utilities Code Section 5830 or its successor.
"PEG channels"
mean "public, educational, and governmental access channels" as that term is defined in Public Utilities Code Section 5870 or its successor section.
"State franchise"
shall have the meaning given that term by subdivision (p) of Public Utilities Code Section 5830.
"Video service"
shall have the meaning given that term by subdivision (s) of Public Utilities Code Section 5830.
(Ord. 2013 § 1, 2010)
A. 
No person may provide video service, or construct, operate, maintain or repair a network in the city without first obtaining a state franchise for that purpose.
B. 
A state franchise does not convey any rights upon the holder other than those specified in this chapter, DIVCA, or by any other applicable law; nor does it relieve the holder of the obligation to comply with all laws, ordinances, resolutions, rules and regulations applicable to the placement of utilities in the public rights-of-way, public property, or private property, including, but not limited to, Public Resources Code Sections 2100 et seq., (California Environmental Quality Act) and Chapter 13.04, Encroachments.
C. 
Holders and applicants for a state franchise to provide video service in the city shall deliver to the city full and complete copies of all applications, amendments, and other documentation submitted by the holder or the applicant to the California Public Utilities Commission related to the state franchise.
(Ord. 2013 § 1, 2010)
Consistent with Public Utilities Code Section 5860:
A. 
Any state franchise holder operating within the city shall pay to the city a state franchise fee equal to five percent of gross revenues.
B. 
The franchise fee shall be paid quarterly, within 45 days after the end of each calendar quarter. Each payment made shall be accompanied by a report detailing how the payment was calculated.
C. 
The city may examine or audit holder's business records to ensure compliance with this chapter.
D. 
In the event the holder fails to make payments required by this chapter on or before the due dates specified herein, the city shall impose a late charge at a rate per year equal to the highest prime lending rate during the period of delinquency, plus one percent.
E. 
In accordance with Public Utilities Code Section 5840(q)(2)(B), in the event a holder leases access to a network owned by the city, the city may set a franchise fee for access to the city-owned network separate and apart from the franchise fee charged to holder pursuant to this section, which fee shall otherwise be payable in accordance with the procedures established by this section.
(Ord. 2013 § 1, 2010)
A. 
PEG Channel Capacity.
1. 
A holder that has been authorized by the California Public Utilities Commission to provide video service in the city shall designate and activate three PEG channels within three months from the date that the city requests that the holder designate and activate these PEG channels. However, this three-month period shall be tolled for such a period, and only for such a period, during which the holder's ability to designate or provide such PEG capacity is technically infeasible, as set forth in Sections 5870(a), 5870(c) and 5870(h) of the Public Utilities Code.
2. 
A holder shall provide an additional PEG channel when the standards set forth in Section 5870(d) of the Public Utilities Code are satisfied by the city or any entity designated by the city to manage one or more of the PEG channels.
B. 
PEG Carriage and Interconnection.
1. 
As set forth in Sections 5870(b) and 5870(g)(3) of the Public Utilities Code, holders shall ensure that all PEG channels are receivable by all subscribers, whether they receive digital or analog service, or a combination thereof, without the need for any equipment other than that needed to receive the lowest cost tier of service. PEG access capacity provided by a holder shall be of similar quality and functionality to that offered by commercial channels, shall be capable of carrying a National Television System Committee (NTSC) quality television signal, and shall be carried on the holder's lowest cost tier of service. To the extent feasible, the PEG channels shall not be separated numerically from other channels carried on the lowest cost tier of service and the channel numbers for the PEG channels shall be the same channel numbers used by any incumbent cable operator, unless prohibited by federal law. After the initial designation of the PEG channel numbers, the channel numbers shall not be changed without the agreement of the city unless federal law requires the change.
2. 
As set forth in Section 5870(h) of the Public Utilities Code, the holder and an incumbent cable operator shall negotiate in good faith to interconnect their networks for the purpose of providing PEG programming. If a holder and an incumbent cable operator cannot reach a mutually acceptable interconnection agreement for PEG carriage, the city shall require the incumbent cable operator to allow the holder to interconnect its network with the incumbent cable operator's network at a technically feasible point on the holder's network as identified by the holder. If no technically feasible point of interconnection is available, the holder shall make interconnection available to each PEG channel originator programming a channel in the city and shall provide the facilities necessary for the interconnection. The cost of any interconnection shall be borne by the holder requesting the interconnection unless otherwise agreed to by the parties.
(Ord. 2013 § 1, 2010)
A. 
Each holder shall remit to the city a fee to support PEG channel facilities in the amount of one percent of the gross revenues. The fee shall be remitted on a quarterly basis and within 45 days of the close of each calendar quarter. Each remittance shall be accompanied by a summary explaining the basis for the calculation of the fee. If a holder fails to pay the PEG support fee when due, or underpays the proper amount due, the holder pay a late payment charge at the rate per year equal to the highest prime lending rate during the period of delinquency, plus one percent.
B. 
Each holder shall furnish, on an annual basis, a statement within 90 days of the close of the calendar year, either audited and certified by an independent certified public accountant or certified by an officer of the holder, reflecting the total amount of gross revenues for the preceding calendar year, and all payments, deductions and computations used to determine the amount of the remittances required by this section during the preceding calendar year. The city manager may establish, and from time to time revise, such reasonable additional reporting requirements as are necessary to ensure that the basis for the calculation of the amount of remittances are adequately explained and documented, and each holder shall comply with such additional reporting requirements provided that each holder shall have first been provided written notice of such requirements at least 15 days prior to the beginning of the calendar year.
C. 
Notwithstanding Public Utilities Code Section 5870(n), upon the expiration of any state franchise, without any action of the city council, this section shall be deemed to have been automatically reauthorized, unless the holder has given the city manager and the city council written notice 60 days prior to the expiration of its state franchise that the section will expire pursuant to the terms of Public Utilities Code Section 5870(n).
(Ord. 2013 § 1, 2010)
A. 
Consistent with Public Utilities Code Section 5900(a) and (b), holder shall comply with all applicable state and federal customer service and consumer protection standards for the provision of video service in the city.
B. 
The city shall enforce the compliance of holder with respect to the state and federal customer service and consumer protection standards. The city will provide holder with a written notice of any material breaches of those standards, and will allow holder 30 days from the receipt of the notice to remedy the specified material breach. Material breaches not remedied within the 30-day time period will be subject to the following penalties to be imposed by the city:
1. 
For the first occurrence of a material breach, a fine of $500.00 may be imposed for each day the material breach remains in effect, not to exceed $1,500.00 for each violation.
2. 
For a second material breach of the same nature within 12 months of the first occurrence of a material breach, a fine of $1,000.00 may be imposed for each day the material breach remains in effect, not to exceed $3,000.00 for each material breach.
3. 
For a third material breach of the same nature within the same 12-month period as a second material breach, a fine of $2,500.00 may be imposed for each day the material breach remains in effect, not to exceed $7,500.00 for each material breach.
C. 
In the event that a specified material breach has not been remedied following the city manager's assessment of penalties in the maximum amount permitted per occurrence, the city manager, after providing a subsequent written notice of the alleged material breach, may treat the continuing occurrence as a subsequent material breach.
D. 
The city shall provide the holder with written notice of the penalty assessment. A holder may appeal a notice of penalty assessment to the city manager by filing a written notice with the city clerk within 10 days of the date the notice of penalty assessments was provided to the holder. Within 10 business days of the receipt of the notice of appeal, the city manager shall receive and consider relevant evidence presented by the holder in support of the appeal and by the city in support of the penalty assessments, and issue a written decision whether to uphold, modify, or vacate the penalty. A holder may obtain review of the city manager's final decision by filing a petition for review with the Superior Court of Alameda County within 20 days after service of the final decision in accordance with Public Utilities Code Section 5900(h) and Government Code Section 53069.4.
E. 
Unless vacated by the city manager or stayed by a court of competent jurisdiction, a holder shall remit the penalty to the city within 45 days of the date the notice of penalty assessment was delivered to the holder. Failure to remit the penalty as required by this subsection and Public Utilities Code Section 5900(g) shall constitute a material breach. The city shall submit one-half of the penalty to the digital divide account as required by Public Utilities Code Section 5900(g).
(Ord. 2013 § 1, 2010)
Each holder shall comply with the emergency alert system requirements of the Federal Communications Commission in order that emergency messages may be distributed over the holder's network consistent with Public Utilities Code Section 5880.
(Ord. 2013 § 1, 2010)